CONTENTS:
- Lawmakers to Continue FY19 Funding Efforts Next Week
- Associations Comment on Proposed Borrower Defense to Repayment Rule
- Higher Education Groups File Amicus Brief on Net Neutrality
- 77 Organizations Write in Support of Student Loan Assistance Act
- Associations Comment on Interim Guidance on Investment Excise Tax
- Energy Sciences Coalition Asks OMB for Robust FY20 Investments
- Labor Department Announces Overtime Rule Listening Sessions
- White House Nixes Second Rescission Request
LAWMAKERS TO CONTINUE FY19 FUNDING EFFORTS NEXT WEEK
Senate Appropriations Committee Chairman Richard Shelby (R-AL) said Tuesday that Senate leadership is working to convene a conference meeting with the House on another FY19 minibus spending package (H.R. 5895) that includes energy, nuclear security, the Veterans Affairs Department, and congressional operations funds. Congress was set to conference on the spending package in July but cancelled the negotiations citing scheduling issues. AAU President Mary Sue Coleman earlier this year wrote conferees urging they adopt the Senate-passed funding levels for the Department of Energy’s Office of Science and ARPA-E.
House lawmakers are set to return from recess next week. While the House was away, the Senate approved a $857 billion FY19 minibus spending package (H.R. 6157) that funds the departments of Defense, Labor, Health and Human Services, and Education during an abbreviated recess schedule. When House members return, there will be just 11 workdays left to negotiate final FY19 appropriations bills or a continuing resolution before September 30. The House has passed six appropriations bills and the Senate nine and none have been sent to President Trump for approval. See AAU’s FY19 funding priorities table here.
ASSOCIATIONS COMMENT ON PROPOSED BORROWER DEFENSE TO REPAYMENT RULE
AAU and 19 other associations yesterday wrote to the Education Department to comment on the proposed final rule on borrower defenses to repayment (Docket ID ED-2018-OPE-0027). The letter outlines several concerns and says that as drafted, the proposed rule “would make asserting a successful claim functionally impossible.” The letter notes that the undersigned associations “have a clear interest in ensuring that any process impacting institutions is fair to all parties and balances in its approach,” and the proposed rule “fails to meet that standard.”
HIGHER EDUCATION GROUPS FILE AMICUS BRIEF ON NET NEUTRALITY
AAU and 19 other higher education associations submitted a brief to U.S. Court of Appeals for the District of Columbia Circuit in support of Mozilla Corporation in Mozilla Corporation v. Federal Communications Commission and the United States of America. The brief argues that the FCC’s Restoring Internet Freedom Order – by permitting ISPs to block or slow internet traffic, and/or to charge extra for faster network speeds – would have a negative impact on universities’ educational, research, and public service activities.
AAU filed comments with the FCC in July 2017 and in December 2017, in advance of the FCC’s vote to repeal the Obama Administration’s net neutrality rules.
77 ORGANIZATIONS WRITE IN SUPPORT OF STUDENT LOAN ASSISTANCE ACT
AAU along with 76 other organizations sent a letter Monday to Chairman Brady and Ranking Member Neal of the House Ways and Means Committee to express support for the Employer Participation in Student Loan Assistance Act (H.R. 795). Currently, Sec. 127 of the Internal Revenue Code allows employers to contribute a tax-exempt benefit of $5,250 in tuition assistance to employees currently in school. H.R. 795 would expand this benefit to allow employers to make the same contribution to employees who have completed their education.
ASSOCIATIONS COMMENT ON INVESTMENT EXCISE TAX INTERIM GUIDANCE
AAU and five other higher education organizations last week submitted comments to the IRS in response to Notice 2018-55, which serves as interim guidance for the new 1.4 percent excise tax on certain private university endowment investment earnings until final regulations are issued. The letter notes the groups appreciate the timely guidance and urge the Department of Treasury and IRS to “continue to provide relief and guidance for institutions as they struggle to comply with this new, unprecedented, and undefined tax.”
ENERGY SCIENCES COALITION ASKS OMB FOR ROBUST FY20 INVESTMENTS
The Energy Sciences Coalition, of which AAU is a member, on Monday sent a letter to OMB Director Mulvaney and key OSTP and DOE stakeholders recommending robust funding for the Department of Energy’s Office of Science in FY20. “Sustained growth in funding is necessary for the Office of Science to continue to support cutting-edge research at universities and national laboratories, construction and operation of world-class science infrastructure, and training the next generation STEM workforce required to maintain U.S. leadership in scientific innovation, economic competitiveness, and national security,” the letter says.
AAU and APLU earlier this year wrote a similar letter asking the administration prioritize higher education and research investments in FY20. Doing so, the letter said, will strengthen the government-university partnership, which improves public health, strengthens national security, and trains the next generation of U.S. scientists, engineers, and leaders.
LABOR DEPARTMENT ANNOUNCES OVERTIME RULE LISTENING SESSIONS
The Department of Labor’s Wage and House Division earlier this week announced it will hold five public listening sessions to gather views on the Fair Labor Standards Act’s white-collar exemption regulations (29 CFR Part 541). Under the Obama administration, the Department issued a final regulation that increased the weekly salary requirement from $455/week to $913/week; AAU and numerous other higher education associations submitted comments on this regulation. This regulation was then invalidated by a federal court in August 2017. According to the Labor Department’s Spring 2018 regulatory agenda, these listening sessions are a precursor to a notice for proposed rulemaking on the Part 541 regulations that the Department will issue in early 2019.
WHITE HOUSE NIXES SECOND RESCISSION REQUEST
The White House this week decided against requesting a second round of budget rescissions. The rumored $3 billion rescissions package would have reportedly scrapped foreign aid dollars. Earlier this year, Congress voted against acting on an initial request to rescind $15 billion in spending authority, largely targeting funds for programs that were no longer authorized or funds that were not expected to be used.
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